Cost of Environmental DegradationCost of Environmental Degradation
Ministry of EnvironmentService of Environmental Guidance
Viviane Sassine
Environmental Specialist
SMAP III Regional Meeting, Villa Valmer, Marseilles, France
29 June 2009
OutlineOutline
Cost of Environmental Degradation (Why?)
Study on the Cost of Environmental Degradation
in Lebanon (CED-L)
Economic Assessment of Environmental
Degradation due to July 2006 hostilities
Why do we Need to Know the Cost of Neglecting the Environment?
To speak a non-environmentalis
t language
Community Decision makers
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Study on the Cost of Environmental Degradation in Lebanon (CED-L)
Funded & implemented: World Bank- METAP
Implementation region:7 countries: Lebanon, Syria, Algeria, Egypt,
Jordan, Morocco, Tunisia
ObjectivesObjectives
Provide an estimate of the cost of environmental degradation
in Lebanon using the most recent data
Provide analytical framework that can be applied periodically
by professionals in Lebanon to assess the COED over time
Provide a basis for training program for all interested
stakeholders to incorporate assessments of COED into policy
making and environmental management.
Total Cost
565 million USD
2.8- 4.0% GDP
What?
Total Cost
Water Quality
Air Quality
Land & Wild lifeCoastal Zones & Cultural heritage
Solid waste
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Republic of LebanonEconomic Assessment of Environmental Degradation due to July 2006 hostilities
Funded & implemented: World Bank
Prepared by the World Bank upon the request of MoE
Assessment of Environmental Degradation caused by 34 day hostilities on Lebanon
Ultimate goal: 1.Present the overall picture of environmental
degradation2.Identify the natural resources mostly affected by
the Israeli war on Lebanon
Aim and Objectives
Total Cost
729 million USD
3.6% GDP
Overall cost of environmental degradation Overall cost of environmental degradation
Impacts US$ millionmin
US$ millionmax
US$ millionaverage
% of GDP[1]
Waste 206.8 373.5 290.2 1.4
Oil spill 166.3 239.9 203.1 1.0
Water 131.4 131.4 131.4 0.6
Quarries 15.4 175.5 95.5 0.5
Forests 7.0 10.8 8.9 0.0
Total environmental cost caused by hostilities
526.9 931.1 729.0 3.6%
[1] Based on an estimated GDP for 2006 of US$20.5 billion (Economic Intelligence Unit, 2006)
Environmental damages by categories Environmental damages by categories
0
50
100
150
200
250
300
Waste Oil Spill Water Quarries Forests
US$
mill
ion
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WasteWaste
Damage cost (US$ million)
Minimum Maximum
Construction & Demolition Waste 141.8 159.3
Military Waste (UXO) 65.0 214.2
Medical Waste 0.02 0.05
Total 207 373
Total estimated costs
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Oil SpillOil Spill
Mean estimate
Damage Costs: Hotels, Beach resorts, Marinas, Palm Islands Nature Reserve,
Byblos, Restaurants, Commercial fishing, Sea-shore fishing, Cost of oil fuel burnt, …
139.6
Oil Spill Clean Up: Expenses already made, Oiled waste, Monitoring expenses
63.5
Total 203.1
Estimated costs of damage and clean-up due to the oil spill (million US$)Estimated costs of damage and clean-up due to the oil spill (million US$)
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WaterWater
The additional costs of getting water and the cost of reservoir rehabilitation are valued at US$131.4 million.
This figure underestimates the real value of the damage cost linked to water resources, as it does not include the impact of water degradation on health.
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QuarriesQuarries
Overall damage caused by the added pressure on quarries to supply needed aggregate and sand for the reconstruction is estimated to range between US$ 15 and 175 million (or an average of US$95.5 million).
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ForestForest
Overall damage to forests and to national reforestation program ranges between US$7.0 – 10.8 million, with an average of US$8.9 million.
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Water Quality
Reduced Quality of potable water
82 -89 M USD
Health Impacts79 – 105 M USD
175 Million USD/ 1.0-1.2 percent of GDP
Mortality Morbidity
Medical Care
Purchase of Bottled
Water
Air Quality
170 Million USD/ 0.7-1.3 % of GDP
Health Impacts from PM10
61-124 M USD
Health impacts from Lead
28-40 M USD
Health Impacts of Indoor air pollution
10-46 M USD
Quality of Life12 -16 M USD
Land & Wild Life
Degraded Terraced Land
60 – 90 M USD
100 Million USD/ 0.5-0.7 % of GDP
Deterioration of estate prices
around 3 quarries14 – 16 M USD
Deterioration of Tourism opportunities
4-14 M USD
Coastal Zones & Cultural Heritage
Domestic recreational losses
9 – 12 M USD
110 Million USD/ 0.6-0.75 % of GDP
International tourism losses
63-74 M USD
Ecological losses & Non-use value
27-40 M USD
Solid Waste
Mismanagement of Municipal Solid waste
8 M USD
8 Million USD/ 0.05% of GDP
Comparison of 2 studiesComparison of 2 studies
The first study (CED-L) estimated the annual costs of environmental degradation in 2000 at about US$565 million or 3.4% of GDP
A comparison between the two estimates shows that the damage caused by the 34-day hostilities (729 million USD) is almost equivalent to one year of environmental degradation in times peace.
Service of Environmental Guidance Directorate General of EnvironmentMinistry of EnvironmentLazarieh Center, Downtown BeirutP.O. Box 11-2727 Lebanon
Tel: 00 961 (0) 1 976 555Fax: 00 961 (0) 1 976 530
E-mail: [email protected]@moe.gov.lb
Visit: www.moe.gov.lb